IT · Outsourcing

What's your reason/s why you'd outsource your IT needs?

Kyle Del Mar VP of Operations

September 19th, 2019

Curious to know for those who tried outsourcing your IT jobs on what were your reasons why you outsourced the position?

I'm in the outsourcing business and have been thinking on expanding to accept IT jobs as well, hence the question.

Paul Garcia marketing exec & business advisor

September 22nd, 2019

I think you may be addressing this question to the wrong audience. Most business owners here do not own mature companies, and do not represent the slice of the market that will be most profitable for you. Unless you have something unique to startups, your question will yield more valuable answers by asking a different set of company owners.

There has been a lot of discussion elsewhere about why companies do and don't outsource. A lot of conversations and articles have been written about the value of outsourcing as well as specific pitfalls and advantages. Most likely anyone here already read (some of) those articles and was influenced by the topical conversation.

What I question isn't whether outsourcing can be profitable. Instead what I question is your motivation to do IT jobs. You say that you already supply outsource support for other areas, and are considering IT as a new service product. But why? Just because other people do it? That's the wrong reason.

The best reason to expand your service offerings is because your existing clients regularly ask you to do so. Adding a new service area is very similar to launching a new business. If you don't have your existing clients already regularly asking for the new service you will be starting from scratch. You will have to figure out where to find new clients, how they're different from your existing clients, how they want to be approached, and what you will need to do to keep them happy. That's bad.

On the other hand if you already have happy clients who keep saying to you, "Gee, I really wish you did IT too!" you have a built-in set of customers who you don't have to spend money to acquire, who already have a positive opinion of your company, and who are ready to spend more money (loyalty) with you today. That's should be the trigger to add services, not just green grass you can see over your fence.

Have you perfected the services you offer today so well that you barely have to lift a finger to win new business? Are your existing customers sending you referrals all the time? If the answer is no to either of those questions, focus on your core business to make both of those answers a confident YES. Don't expand just because you can. It will distract you from your core business. And if you can't today say yes to both of these questions, your business can't afford distractions of a new service offering where you don't have experience.

Frank Anes Founder of Staccato Interactive | CoFounder of A.R. Consulting

September 19th, 2019

I believe this is based on company size. Why have someone full-time for things like Email Configuration, Computer Help, and Security. Any team smaller than 50 I would suggest outsource their IT needs.

That said, most small companies (outside of the tech realm) will likely be unaware of their IT needs until something goes wrong. How do you plan on educating the market?